Dunkin Donuts Vs Starbucks Essay

Describe the targeted segment(s) of each Starbucks and Dunkin’ Donuts. Discuss the competitive advantage of each Starbucks and Dunkin’ Donuts. Compare and/or contrast the positioning strategy of Starbucks and Dunkin’ Donuts. Discuss how Starbucks’ strategies have changed since its early days? Discuss how Dunkin’ Donuts’ strategies have changed since its early days?With 120 years of franchising experience, Dunkin Donut brand is one of the world most recognized and beloved coffee brand in America (dunkinfranchising.com, 2014).

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As many other competitors are focusing on top-quality products which result on higher prices. DD able to sells more than 30 cups of freshly brewed coffee each second and serving nearly 1 billion coffee by the cup each year or approximately 2.7 million cups a day (dunkindonuts.com, 2014). DD also has offers discount cards and special deals coupon to customer. Dunkin’ Donut has state their brand vision consistently over the place making it extremely well-known which make them become market leader in sales of hot, decaffeinated and flavored coffee, iced coffee, bagels, donut and muffins with affordable price. 2.2.2 Franchises Business Model Dunkin’ Donut have a very strong presence in the Eastern U. 2.0 Environmental analysis Environmental analysis of Dunkin Donut as the study on internal and external environment of the company has carry out. The VRIO analysis is then done to assess the resources and capabilities of a company to determine their competitive potential; VRIO stands for Valuable, Rare, Inimitable, and Organized to Exploit. Worldwide Chain of franchise totalling to 18,000 locations across 60 countries. Westward expansion of Dunkin’ Donuts brand in the U. S with their products and price its offer and have many franchises located around, therefore, it is very valuable as its help company to gain market share. According to annual report 2013, the revenue has been increased from 2.29m (2012) to 2.49m (2013). S is also rare because most of the coffee chain only have fewer location and not compare to the share size and abundance of Dunkin’ Donuts in the eastern U. However, franchises business model is susceptible to imitation by other companies as there are many other quick service restaurant like Starbucks, Mc Donald who have become experts in franchising their own business model. DD can be said that are selling high quality product at the lower price in the market compare to other competitor like Starbucks. 2.3.2 Weakness According to annual report 2013 has shown that the Dunkin’ Donuts had heavy indebtedness of approximately

As many other competitors are focusing on top-quality products which result on higher prices.

DD able to sells more than 30 cups of freshly brewed coffee each second and serving nearly 1 billion coffee by the cup each year or approximately 2.7 million cups a day (dunkindonuts.com, 2014).

DD also has offers discount cards and special deals coupon to customer.

Dunkin’ Donut has state their brand vision consistently over the place making it extremely well-known which make them become market leader in sales of hot, decaffeinated and flavored coffee, iced coffee, bagels, donut and muffins with affordable price.

2.2.2 Franchises Business Model Dunkin’ Donut have a very strong presence in the Eastern U.

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As many other competitors are focusing on top-quality products which result on higher prices. DD able to sells more than 30 cups of freshly brewed coffee each second and serving nearly 1 billion coffee by the cup each year or approximately 2.7 million cups a day (dunkindonuts.com, 2014). DD also has offers discount cards and special deals coupon to customer. Dunkin’ Donut has state their brand vision consistently over the place making it extremely well-known which make them become market leader in sales of hot, decaffeinated and flavored coffee, iced coffee, bagels, donut and muffins with affordable price. 2.2.2 Franchises Business Model Dunkin’ Donut have a very strong presence in the Eastern U. 2.0 Environmental analysis Environmental analysis of Dunkin Donut as the study on internal and external environment of the company has carry out. The VRIO analysis is then done to assess the resources and capabilities of a company to determine their competitive potential; VRIO stands for Valuable, Rare, Inimitable, and Organized to Exploit. Worldwide Chain of franchise totalling to 18,000 locations across 60 countries. Westward expansion of Dunkin’ Donuts brand in the U. S with their products and price its offer and have many franchises located around, therefore, it is very valuable as its help company to gain market share. According to annual report 2013, the revenue has been increased from 2.29m (2012) to 2.49m (2013). S is also rare because most of the coffee chain only have fewer location and not compare to the share size and abundance of Dunkin’ Donuts in the eastern U. However, franchises business model is susceptible to imitation by other companies as there are many other quick service restaurant like Starbucks, Mc Donald who have become experts in franchising their own business model. DD can be said that are selling high quality product at the lower price in the market compare to other competitor like Starbucks. 2.3.2 Weakness According to annual report 2013 has shown that the Dunkin’ Donuts had heavy indebtedness of approximately $1.8billion which lead to relative liquidity limit the company’s financial flexibility.

.8billion which lead to relative liquidity limit the company’s financial flexibility.

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